Comparing Burford Capital (NYSE:BUR) and Abits Group (NASDAQ:ABTS)

Burford Capital (NYSE:BUR) and Abits Group (NASDAQ:ABTS) are both finance companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, profitability, earnings, analyst recommendations, institutional ownership, risk and valuation.

Insider and Institutional Ownership

0.2% of Abits Group shares are held by institutional investors. 0.2% of Burford Capital shares are held by insiders. Comparatively, 6.7% of Abits Group shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Profitability

This table compares Burford Capital and Abits Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Burford Capital	42.81%	10.61%	5.70%
Abits Group	N/A	N/A	N/A

Analyst Ratings

This is a summary of recent recommendations for Burford Capital and Abits Group, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Burford Capital	0	0	3	0	3.00
Abits Group	0	0	0	0	N/A

Burford Capital currently has a consensus target price of $20.17, suggesting a potential upside of 42.82%. Given Burford Capital’s higher possible upside, research analysts plainly believe Burford Capital is more favorable than Abits Group.

Risk and Volatility

Burford Capital has a beta of 0.58, indicating that its share price is 42% less volatile than the S&P 500. Comparatively, Abits Group has a beta of 2.76, indicating that its share price is 176% more volatile than the S&P 500.

Valuation & Earnings

This table compares Burford Capital and Abits Group’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Burford Capital	$1.09 billion	N/A	$610.52 million	$1.43	9.87
Abits Group	$1.68 million	11.90	-$12.59 million	N/A	N/A

Burford Capital has higher revenue and earnings than Abits Group.

Summary

Burford Capital beats Abits Group on 7 of the 10 factors compared between the two stocks.

About Burford Capital

Burford Capital Limited provides legal finance products and services worldwide. The company operates through two segments, Capital Provision, and Asset Management and Other Provision. The Capital Provision segment provides capital to the legal industry or in connection with legal matters directly and through investment in private funds; legal risk management services; lower risk legal finance business focusing on pre-settlement litigation matters with lower risk and lower expected returns; post-settlement finance; and complex strategies in which it acts as a principal and acquires assets that are mispriced. The Asset Management and Other Services segment provides services to the legal industry, including litigation insurance. Burford Capital Limited was incorporated in 2009 and is based in Saint Peter Port, Guernsey.

About Abits Group

Abits Group Inc., a digital company, engages in the provision of bitcoin mining and related services in the United States. The company was formerly known as Moxian (BVI) Inc and changed its name to Abits Group Inc. in November 2023. Abits Group Inc. was incorporated in 2021 and is based in Tsim Sha Tsui, Hong Kong.